India’s most valuable company, Oil and Natural Gas Corp, said on Wednesday it had no objection to the demerger of the offshore services business of Great Eastern Shipping Co Ltd. “We have cleared it,” ONGC Chairman and Managing Director R S Sharma said. He did not give other details. Shares in Great Eastern rose 10.3 per cent to Rs 227.70 in a weak Mumbai market after ONGC’s assent cleared the way for the demerger.
ONGC, a large offshore services customer of Great Eastern, had initially objected to the proposed demerger of the shipping firm’s offshore services unit, Great Offshore Ltd.